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City · 25,307 residents · King County, Washington

Mercer Island , Washington

In Mercer Island, a typical home is worth $2,000,001 and typical rent is $2,502 a month. Compared with all of King County, the typical home value is 133% higher, typical household income is 76% higher, and the share of households that own their home is 12 points higher.

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  • Typical home value

    $2,000,001

    133% above the county

    254% above Washington

    • Mercer Island
    • King
    • Washington

  • Typical rent

    $2,502a month

    20% above the county

    42% above Washington

    • Mercer Island
    • King
    • Washington

  • Typical household income

    $219,069a year

    76% above the county

    123% above Washington

    • Mercer Island
    • King
    • Washington

  • Households that own their home

    67%

    12 points above the county

    3 points above Washington

    • Mercer Island
    • King
    • Washington

Source: U.S. Census Bureau, Average 2020–2024

Market now, with Zillow data

Zillow data
Typical home value
$2,212,845
0.8% less than 12 months ago
Typical rent
$2,796 a month
4.8% more than 12 months ago

From Zillow (ZHVI/ZORI), September 2026. The Census figures above are 5-year averages (2020–2024).

Mercer Island is in King County. The FHA loan limit ($1,063,750 for a one-unit home), the fair market rents and the help on this page are those of all of King County. See the county

Data updated: October 1, 2026 11 official sources

Only here

What sets Mercer Island apart

What this place has that others do not, from public data, most unusual first.

  1. Mercer Island has the highest typical home value of the 191 cities in Washington with more than 5,000 people: $2,000,001.

  2. Mercer Island has the 2nd highest typical household income of the 194 cities in Washington with more than 5,000 people ($219,069).

  3. Nearby, in Tukwila, the typical home value is $489,000: 76% less than in Mercer Island ($2,000,001).

  4. Nearby, in Bryn Mawr-Skyway, the typical rent is $1,760: 30% less than in Mercer Island ($2,502).

  5. The typical rent in Mercer Island is $2,502 a month, 20% more than in King County as a whole ($2,092).

  6. 67% of households in Mercer Island own their home, against 55% in King County.

Sources: U.S. Census Bureau (Average 2020–2024).

The homes here

Housing in Mercer Island

What homes there are in Mercer Island, what they cost, how that changed and how people live, from Census figures (2020–2024).

What homes there are

U.S. Census Bureau, ACS 5-year, 2020–2024

Kind of home

In Mercer Island, 7 in 10 homes are single-family detached houses; in King County, 5.

Year built

The typical home in Mercer Island was built in 1973, 10 years before the typical one in King County.

There is more room for a big family here: 66% of homes have 3 bedrooms or more, against 50% in King County.

All homes, occupied or empty. A figure the Census cannot measure precisely enough here is not shown.

Census tables: B25024, B25034, B25035, B25041

What it costs here

U.S. Census Bureau, ACS 5-year, 2020–2024

Value of owner-occupied homes
Monthly rent with utilities

Owners with a mortgage

59%

King County: 70%

Value: what owners think their home is worth. Rent: rent plus utilities, for homes of every size. The FHA limit is the most an FHA loan (Federal Housing Administration) lends for a one-unit home; the fair market rent (FMR) is the one HUD uses for housing vouchers.

Census tables: B25075, B25063, B25088, B25081

How it changed

U.S. Census Bureau, ACS 5-year, 2015–2019 and 2020–2024

Change since 2015–2019

Since 2015–2019, the typical rent in Mercer Island rose 16%, less than in King County (30%).

Change between two 5-year periods that do not overlap, in each period's dollars, not adjusted for inflation.

Census tables: B25077, B25064, B19013

How people live

U.S. Census Bureau, ACS 5-year, 2020–2024

MeasureMercer IslandKing CountyWashingtonUnited States
Rental vacancy Unreliable estimate5.3%4.5%5.5%
Homeowner vacancy Unreliable estimate0.7%0.7%0.9%
More than one person per room Unreliable estimate3.9%3.5%3.4%
People per household 2.502.392.502.53
Drive alone 52%50%63%69%
Carpool 4%7%9%9%
Public transit 3%7%3%3%
Walk or bike Unreliable estimate5%4%3%
Work from home 39%29%20%15%
Other means Unreliable estimate1%1%2%
Typical commute 20 to 29 minutes20 to 29 minutes20 to 29 minutes20 to 29 minutes

Much as in King County, a household in Mercer Island has 2.50 people on average.

Many people here do not commute at all: 39% work from home; in King County, 29%.

Vacancy: empty homes offered for rent or for sale. Rooms: every room in the home, not only bedrooms. Commute: the minute range of the typical worker.

Census tables: B25004, B25003, B25014, B25010, B08301, B08303

Do the math

What would you pay each month for a home in Mercer Island?

A typical home costs more than the typical income allows

We start with a typical home in Mercer Island, worth $2,000,001, an FHA loan with 3.5% down and the latest average rate (7.18%). That payment would take 89% of the typical household income in Mercer Island, which is $219,069 a year. For that payment to be 28% of income, a household would need to earn about $693,267 a year. Note: at that price the loan is above the FHA limit for King County ($1,063,750), so FHA would not insure it; the payment is only a reference.

The calculator's FHA and conventional loan limits are those of all of King County.

Your numbers

Local data
$

Starts at the typical home value in Mercer Island. Change it to the price you have in mind.

Loan type
Your credit score

Your score changes which loans apply and FHA's minimum down payment. Your real rate also depends on your credit.

Down payment
%

That is $70,000 (3.5% of the price). The usual minimum for this loan is 3.5%.

This loan usually requires at least 3.5% down.

This week's average ± a quarter or half point.

Term

National average as of November 5, 2026 (Freddie Mac); your rate may be different.

Adjust advanced details

Estimated monthly payment

Local data

$16,176

at 7.18% · 30 years

Loan amount
$1,963,776
Total interest
$2,825,413
Paid off in
November 2056

Includes $33,775 FHA upfront mortgage insurance premium.

Does it fit the income?

  • Comfortable

    up to $5,112 a month

  • Tight

    $5,112 to $6,572 a month

  • Hard

    more than $6,572 a month

    Your payment · 89%

Compared with the typical household income in Mercer Island ($219,069 a year). Reference: HUD calls paying more than 30% of income for housing a cost burden.

Show the result as
per month$16,176
Principal & interest$13,303
Property tax$833
Home insurance$833
FHA mortgage insurance (MIP)$1,206

This loan is over the FHA limit

You'd borrow $1,930,001, but the FHA limit for a one-unit home in Mercer Island is $1,063,750. You'd need a bigger down payment or a different loan.

You need at least $70,000 for the down payment, plus closing costs.

Next step

This is an estimate to give you an idea, not a loan offer. Your real payment depends on your rate, your credit, and the insurance and taxes on the home you buy.

The city and its county

Mercer Island and King County

Mercer Island is in King County, Washington. The U.S. Census Bureau publishes its own numbers for the city: home values, rent, household income, how many households own their home and the property tax. They are American Community Survey estimates (average 2020–2024).

Mercer Island's own numbers

Typical home value
$2,000,001
Typical monthly rent
$2,502
Typical yearly household income
$219,069
Households that own their home
67%
Effective property tax rate
0.5%

U.S. Census Bureau, American Community Survey (average 2020–2024).

Numbers for all of King County

FHA limit, one-unit home
$1,063,750
Conventional limit, one unit
$1,063,750
HUD fair market rent, 2 bedrooms
$2,549
Price change over 5 years (FHFA)
+37%
Homes in a high flood-risk zone
1%

HUD, FHFA and FEMA don't publish these numbers by city.

Other numbers are not published by city, only for the whole county: FHA and conventional loan limits, HUD’s fair market rents, FHFA’s price index and FEMA’s flood data. On this page, those numbers always say they are for all of King County.

Everything about King County

Buying

Buying a home in Mercer Island

A typical home in Mercer Island is worth $2,000,001: 133% above the county and 254% above Washington. With the typical household income in Mercer Island ($219,069 a year), a typical home costs 9.1 times what the household earns in a year.

Years of income to pay for a typical home

The typical home value divided by the typical household income for one year. The lower it is, the less buying weighs.

  • Mercer Island 9.1 years
  • King 6.9 years
  • Washington 5.8 years
  • United States 4.1 years
Source: U.S. Census Bureau, Average 2020–2024

How prices have changed in King County

According to FHFA’s house price index, home prices in King County rose 101% in the 10 years through 2025.

FHFA does not publish this index by city: these are the numbers for all of King County.

Period County Washington U.S.
Last year (2025) +0.9% +1.8% +2.9%
5 years (2020–2025) +37% +44% +47%
10 years (2015–2025) +101% +113% +85%

The index follows the price of the same homes over time (sales and appraisals with Fannie Mae and Freddie Mac loans). It is not the average price of a home. FHFA considers its annual county indexes experimental. Source: FHFA, 2025 data

Mercer Island next to King County, Washington and the U.S.

Three numbers side by side. “Typical” means the median: half are above it and half below.

Typical home value
  • Mercer Island $2,000,001
  • King $859,900
  • Washington $564,600
  • United States $332,700
Typical monthly rent
  • Mercer Island $2,502
  • King $2,092
  • Washington $1,760
  • United States $1,413
Typical yearly household income
  • Mercer Island $219,069
  • King $124,746
  • Washington $98,141
  • United States $80,734
See the full table
Mercer Island next to King County and Washington
Measure Mercer Island King County Washington U.S.
Typical home value $2,000,001 $859,900 $564,600 $332,700
Typical monthly rent $2,502 $2,092 $1,760 $1,413
Typical yearly household income $219,069 $124,746 $98,141 $80,734
Households that own their home 67% 55% 64% 65%
Typical yearly property tax $10,001 $7,114 $4,556 $3,119
Effective property tax rate 0.5% 0.83% 0.81% 0.94%
Renters with high rent for their income 45% 47% 50% 51%

“Typical” means the median: half are above and half are below. ▲ and ▼ say whether the city is above or below King County. “High rent” is the Census measure: renter households that pay 30% or more of their income in rent.

Four ways to pay for a typical home in Mercer Island

For a typical $2,000,001 home in Mercer Island, at Freddie Mac's average rate (7.18% as of November 5, 2026) over 30 years. The monthly payment adds principal and interest, Mercer Island's typical property tax, an example home insurance and mortgage insurance when it applies.

  • FHA, 3.5% down $16,176a month

    Above the FHA limit for King County ($1,063,750)
    Down payment
    $70,000
    Cash to close
    $130,000
    Rate
    7.18%
    Mortgage insurance
    FHA MIP · $1,206

  • Conventional, 5% down $15,488a month

    Above the conventional limit for King County ($1,063,750): it would be a "jumbo" loan
    Down payment
    $100,000
    Cash to close
    $160,000
    Rate
    7.18%
    Mortgage insurance
    PMI · $950

  • Conventional, 20% down, no PMI $12,506a month

    Above the conventional limit for King County ($1,063,750): it would be a "jumbo" loan
    Down payment
    $400,000
    Cash to close
    $460,000
    Rate
    7.18%
    Mortgage insurance
    None

  • ITIN, 15% down (example) $14,355a month

    Down payment
    $300,000
    Cash to close
    $360,000
    Rate
    8.18%
    Mortgage insurance
    None
  • Cash to close = down payment plus 3% of the price in closing costs (example).
  • Minimum score: FHA requires 580 or higher for the minimum down payment (HUD Handbook 4000.1). * Fannie Mae requires 620 when a loan is underwritten by hand; its automated system has no fixed minimum.
  • The ITIN row is an example with a rate 1 percentage point higher: ITIN loans follow no federal rule and each lender sets its own down payment and rate. Nothing in this table promises an approval.

How much house can I afford? Estimate closing costs

Taxes and floods

Two costs that change from place to place

Property tax and flood insurance raise or lower what you pay each month. Here are the numbers for Mercer Island and for King County.

Property tax

Effective rate in Mercer Island

0.5%of the home’s value each year

$10,001 a year for the typical owner in Mercer Island.

  • Mercer Island 0.5%
  • King 0.83%
  • Washington 0.81%

What Washington publishes Exemption for people 61 and older or with disabilities (Washington State Department of Revenue)

Exemptions and deadlines in Washington

Flood risk in King County

FEMA does not publish these numbers by city: they are for all of King County.

Homes in the high-risk zone
1%
5,797
Of those, with NFIP insurance
44%
County Washington U.S.
Homes in the high-risk zone 1% 1.6% 3.5%
Of those, with NFIP insurance 44% 40% 48%

Most homeowners insurance policies do not cover flood damage.

Look up your address on FEMA’s map

Renting

Renting in Mercer Island

Typical rent in Mercer Island is $2,502 a month: 20% above the county. In Mercer Island, 45% of renter households pay 30% or more of their income in rent.

HUD publishes a fair market rent for all of King County, by unit size. To pay the 2-bedroom one ($2,549 a month) without spending more than 30% of your income, you would need to earn $49.02 an hour working full time.

HUD fair market rent for all of King County

What you need to earn to pay it without spending more than 30% of income, working full time.

Size Fair rent a month Hourly wage Yearly income
Studio $2,091 $40.21 $83,640
1 bedroom $2,180 $41.92 $87,200
2 bedrooms $2,549 $49.02 $101,960
3 bedrooms $3,324 $63.92 $132,960
4 bedrooms $3,954 $76.04 $158,160

Includes basic utilities. It isn't the lowest or highest rent: it's a reference point. Source: HUD, Fiscal year 2027

By ZIP code

Fair market rent by ZIP code in Mercer Island

HUD also publishes a fair market rent for each ZIP code (Small Area FMR, fiscal year 2027). Mercer Island is in ZIP code 98040.

For 2 bedrooms it is $3,010: $461 more than the fair market rent for King County ($2,549).

  • 98040 $3,010$3,920

A ZIP code counts for Mercer Island when at least 50% of its land is inside the city or it covers at least 15% of the city (Census 2020 boundaries). Source: Small Area Fair Market Rents (HUD) Fiscal year 2027 Small Area Fair Market Rents (HUD) Source: Census Bureau ZCTA-to-place relationship file Data from 2020 data Census Bureau ZCTA-to-place relationship file

Is your rent high for your ZIP?

Low-income apartments

Low-income apartments in Mercer Island

HUD lists one building with rents for lower incomes in Mercer Island.

  • Grace Place 2720 76th Ave SE, Mercer Island 98040 59 low-income homes · For older adults (206) 232-7447

See all 601 buildings in King County Source: HUD, Retrieved November 6, 2026

Free help

Help to buy or rent in Mercer Island

You do not have to do this alone. A HUD-approved housing counseling agency helps for free or at low cost: getting ready to buy, understanding your credit, or solving a problem with your rent.

There are 4 HUD-approved agencies with an office in King County; 3 say they serve in Spanish.

A man shakes hands with the specialist who helped him with his loan, in the kitchen of his new home.

HUD counseling is free or low-cost

Assistance programs in Mercer Island

No down payment, repair or rent-help program on our list is for Mercer Island or King County. The ones below are statewide in Washington: they work in Mercer Island the same as in the rest of the state.

Which programs do I qualify for? All programs in Washington

  • Home Advantage Downpayment Assistance

    Statewide in Washington

    Washington state commission 0% second mortgage for 3%, 4% or 5% of the first mortgage, with no monthly payments; you do not need to be a first-time buyer. Offered by Washington State Housing Finance Commission.

    Deferred

    See the program Official page

  • Covenant Homeownership Program

    Statewide in Washington

    Washington state commission loan with no monthly payments of up to 20% of the price (maximum $150,000) plus closing costs, for first-time buyers whose family lived in Washington before 1968 and belonged to a group affected by housing discrimination, including Hispanic people. Offered by Washington State Housing Finance Commission.

    Deferred

    See the program Official page

  • House Key Opportunity DPA

    Statewide in Washington

    Washington state commission loan of up to $15,000 at 1% simple interest, with no monthly payments, for the down payment and closing costs of first-time buyers with the House Key Opportunity mortgage. Offered by Washington State Housing Finance Commission.

    Deferred

    See the program Official page

Housing counselors near Mercer Island

The HUD-approved agencies closest to the center of Mercer Island, in a straight line, nearest first. If one says it serves in Spanish, its card says so.

  • Homesight

    4219 S Othello St Ste 130B, Seattle · 3 miles away · Spanish

    Also serves in Vietnamese.

    • Pre-purchase counseling
    • Homebuyer education workshops
    (206) 760-4205

  • El Centro de la Raza

    2524 16th Ave S, Seattle · 4 miles away · Spanish

    • Mortgage delinquency and default
    • Budget and financial counseling
    • and 2 more
    (206) 957-4634

  • Urban League of Metropolitan Seattle

    105 14th Ave Ste 200, Seattle · 5 miles away

    • Mortgage delinquency and default
    • Mortgage delinquency workshops
    • and 11 more
    (206) 461-3792

Every agency in King County All counseling agencies in Washington

Help in Spanish near Mercer Island

2 of the 3 agencies on this list say they serve in Spanish.

Ask for service in Spanish

When you call, say “Spanish, please” or ask if someone speaks Spanish. If not, ask whether they offer an interpreter.

Housing authorities of Mercer Island

HUD’s record names them for Mercer Island or King County. They run public housing or Section 8 vouchers. Ask whether their waiting list is open.

  • Ha of King County Public housing and Section 8 vouchers (206) 574-1100

2 other authorities have an office in King County: see the list Source: HUD

Cities

Other cities in King County

These cities are also in King County. They share its loan limits and fair market rents, but home values and rent change from one to the next.

Everything about King County Housing in Washington
See 28 more cities in King County, with prices and rents

Every city has its own page with prices, rents and help.

Nearby cities

The cities closest to Mercer Island, with the typical home value.

Neighboring counties

If King County is out of reach, look next door. Each number is that county's own.

Keep going

Guides for your next step

Short explanations, in plain language and with official sources, for buying or renting in Mercer Island.

All guides
A mother smiles as she carries her young daughter on her shoulders (black and white).

Questions

Housing questions about Mercer Island

Short answers with the numbers for Mercer Island and all of King County. If your case is different, a HUD-approved counseling agency can guide you for free or at low cost.

How much does a typical home cost in Mercer Island?

The typical home value in Mercer Island is $2,000,001, according to the U.S. Census Bureau (average 2020–2024). For comparison, in King County it is $859,900.

How much does it cost to rent in Mercer Island?

Typical rent in Mercer Island is $2,502 a month, according to the U.S. Census Bureau. HUD’s fair market rent for 2 bedrooms in King County is $2,549.

What is the FHA loan limit in Mercer Island?

Mercer Island uses the FHA limit for all of King County (2026): $1,063,750 for a one-unit home and $2,045,700 for a four-unit home.

How much property tax do owners pay in Mercer Island?

The typical homeowner in Mercer Island pays $10,001 a year, according to the U.S. Census Bureau. That is 0.5% of the home’s value; in King County, the rate is 0.83%.

Where can I find free help to buy or rent in Mercer Island?

There are 4 HUD-approved counseling agencies with an office in King County. 3 say they serve in Spanish. They can help you get ready to buy, with your credit, or with rent.

Sources: American Community Survey (ACS) 5-year estimates (Average 2020–2024); FHA mortgage limits (HUD) (2026 data); Conforming loan limits (FHFA) (2026 data); Fair Market Rents (HUD) (Fiscal year 2027); Small Area Fair Market Rents (HUD) (Fiscal year 2027); Census Bureau ZCTA-to-place relationship file (2020 data); HUD-approved housing counseling agencies (Retrieved November 6, 2026); Public Housing Agencies (HUD) (Retrieved November 6, 2026); Freddie Mac Primary Mortgage Market Survey (PMMS) (As of November 5, 2026); FHFA House Price Index (HPI) (2025 data); Homes with flood insurance (NFIP, FEMA) (As of August 3, 2026).